Month-over-month price gains seen earlier this year stalled in the Greater Vancouver housing market in September due to declining sales and an increase in inventory levels across the region.
The Real Estate Board of Greater Vancouver (REBGV) reports that home sales totalled 1,926 in September 2023, a 13.2 per cent increase from the 1,701 sales recorded in September 2022, but 26.3 per cent below the 10-year seasonal average.
“A key dynamic that we’ve been watching this year has been the reluctance of some homeowners to list their homes given that mortgage rates are the highest they’ve been in over 10 years,” said Andrew Lis, REBGV’s director of economics and data analytics.
There was a total of 5,446 residential properties newly listed for sale on the multiple listing service in Greater Vancouver in September 2023. This represents a 28.4 per cent increase compared to September 2022. The total number of homes currently listed for sale is 11,382, a 9.2 per cent increase compared to September 2022.
Across all property types, the sales-to-active listings ratio for September 2023 is 17.7 per cent. By property type, the ratio is 12.6 per cent for detached homes, 21.6 per cent for townhomes, and 21.3 per cent for apartments.
Downward pressure on home prices occurs when the ratio dips below 12 per cent for a sustained period, while home prices often experience upward pressure when it surpasses 20 per cent over several months, according to board data.
“The upward shift in new listings has allowed overall inventory levels to recover modestly from the low levels we saw earlier this year,” Lis said. “When we pair this dynamic with the slowdown in sales … the outcome is more balanced market conditions overall.”
The composite benchmark price for all residential properties in Greater Vancouver is currently $1,203,300. This represents a 4.4 per cent increase over September 2022 and a 0.4 per cent decrease compared to August 2023.
The benchmark price for a detached home is $2,017,100. This represents a 5.8 per cent increase from September 2022 and a 0.1 per cent decrease compared to August 2023.
The benchmark price of an apartment home is $768,500. This represents a 5.8 per cent increase from September 2022 and a 0.2 per cent decrease compared to August 2023.
The benchmark price of a townhome is $1,098,400. This represents a 5.3 per cent increase from September 2022 and a 0.5 per cent decrease compared to August 2023, the REBGV reported.
